Coal to liquid (CTL) is a process that converts coal into synthetic fuels by liquefying it. It was not economically viable when oil prices were low but interest has grown with higher oil prices. CTL is best for countries with large coal reserves but high oil import dependence, like India and China. While it enhances energy security, CTL faces challenges from high costs and environmental concerns unless carbon capture technology is used. Several CTL plants have been proposed or announced internationally but many face technical, economic, and environmental barriers.

1. Coal To Liquid
By: Ishan Shah & Aman Dhanani

2. Introduction
• Coal to liquid (CTL) or Coal Liquefaction is the process of producing
alternate fuels (synthetic crude oil) from coal.
• Due to the expensive nature of the process it was not economically
viable when oil price was low, but after oil-shock in 1970’s many
countries have taken active interest in this particular process.
• CTL is best suited to the countries who have vast reserves of coal
but rely heavily on other countries for oil imports (like India, China
,US).
• Fuels like: 1. F-T (Fischer-Tropsch) Diesel,
2. Cleaner cooking fuels such as DME (Di-methyl Ether)

3. Why Coal To Liquid?
• As per the BP statistical review
2012 , coal’s market share was
30.1% in 2011 and world primary
energy consumption grew by2.5%.
• Unfortunately it oil and gas
reserves are depleting.
• Moreover majority of oil reserves
are in politically unstable countries.
• In addition growing global
competition for petroleum as India
and China continue their economic
expansion.
Source: BP Energy Outlook 2030, January 2011

4. Why Coal To Liquid?
Source: Individual Images from BP Statistical Review of World Energy June 2012 and Survey of Energy Resources, World Energy Council

5. Increase in Oil Import
Source: http://nguoilotgach.blogspot.in/2011/02/chinas-maritime-ambitions-implications.html

6. VISION
• Economic Fuel.
• Low GHG emissions.
• Zero local pollutants
• Consumer acceptance

7. In a NUTSHELL:

8. Under What Conditions is CTL Viable?
• Oil remains at above $45 to $50/barrel (2005)
• Coal prices at less than $20 to $25/ton
• Reasonable cost of capital.
• Viable processes and solid business case convincing to
the investment community
• Short/streamlined permitting process

9. Coal To Liquid
• CTL process takes place by these methods:
• Direct liquefaction
• Indirect liquefaction
• Hybrid Concept

10. Direct Coal Liquefaction
• Also called Bergius process, developed by Friedrich
Bergius of Germany in 1913.
• In this process, dry coal is mixed with heavy oil recycled
from the process.
• Catalyst is typically added to the mixture.
• The reaction occurs at between 400 °C(752 °F) to 500
°C (932 °F) and 20 to 70 MPa hydrogen pressure.
• The reaction can be summarized as follows:
n C + (n + 1) H2 → CnH2 n + 2

11. Direct Coal Liquefaction
Source.: Presentation by Daniel C. Cicero at International Energy Agency Workshop on Coal-to-Liquids, 2 November 2006

12. Indirect Coal Liquefaction
Source: Adapted from ASERTTI 2006 Winter Meeting report, February 6, 2006, Washington, DC

13. FT Diesel – an ultra clean fuel
•Cetane No. >70
•Zero Sulfur
•No aromatics
Source: Adapted from presentation by
Theo L.K. Lee, Headwaters Technology
Innovation Group, Nov 11/04, Washington
D.C

14. Hybrid Coal Liquefaction
Source:Adapted from U.S. Department of Energy Office of Fossil Energy Report 2008

15. Coal To Liquid : Environmental Concerns
• A major environmental concern
• Carbon footprint of CTL plant
• The plant-level CO2 in a CTL process can be offset using
carbon capture and storage(CCS) technology, in which
the captured CO2 is compressed and transported to a
deep geological formation, where it is sequestered.

16. Source: Mantripragada & Rubin_Eval of CTL_Energy Policy_2011

17. SHENHUA Project
• Shenhua Group took the lead in
the process in August 2004. The
project is designed to have an
annual capacity of 5 million tons.
• The first phase, designed to
produce 3.2 million tons of oil
products, is scheduled for
production by 2007.
• The second phase is scheduled
for production by 2010, with a
designed annual production
capacity of 2.8 million tons.

18. Indian Scenario
• Oil India Limited (OIL) carried out in-depth studies
regarding conversion of various shales and coals from
North-East India into liquid fuel and found that the high
sulfur, low ash bituminous coal of India is quite amenable
for liquefaction.
• Oil India Limited (OIL) had embarked on coal liquefaction
project based on HRI’s Coal oil co processing technology
and setup a 25Kg/day pilot-plant in Duliajan, Assam.

19. Coal Liquefaction Pilot Plant
Source: Adapted from Mohammed Kabiruddin’s Coal liquefaction

20. Barriers to Coal-To-Liquids
Technical
•Integrated operations of advanced CTL technologies have never been
demonstrated
•Lack of robust coal transportation infrastructure.
Economic
•Uncertainties about future world oil production
•High capital and operations costs
•Energy price volatility
•Factors such as labor, equipment, product transportation, environmental risk,
feedstock issues and others.
•Various assumptions such as oil price assumptions, capital cost assumptions,
labor assumptions, equipment assumptions, siting and permitting
assumptions, transportation assumptions and others
Environmental
•CO2 and other pollutant emissions
•Expansion of coal production and requisite infrastructure (railroads, railcars,
etc.) will lead to more pollution.

21. Coal To Liquid Proposed or Announced Projects
• Rentech partnerships: 57,000 bpd plant in Kentucky, 12,000
bpd in Medicine Bow WY (Minemouth), 10,000 bpd plant in
Mississippi, and a project in Colorado to convert former coal-
to methanol plant into Coal To Liquid plant.
• Pennsylvania: Consortium formed to purchase fuel and
construct 10,000 bpd Coal To Liquid plant in partnership with
Sasol.
• West Virginia: State announcement in 2005 to build Coal To
Liquid plant.

22. Coal To Liquid Proposed or Announced Projects
• Montana: State announcement in 2005 to build CTL plant
near PRB coal fields.
• Kentucky: Office of Energy Policy/Division of Energy
announcement in 2006 to build CTL plant.
• China: Multiple plants in partnership with Sasol and
Headwaters. Approximate capacity of17 million bpd by
2020.
• Indonesia: 80,000 bpd CTL plant by 2008.
• India/Pakistan/Africa: Multiple plants in partnership with
Sasol

23. Conclusions
• Global Energy security is threatened due to
amalgamation of different factors such as geopolitical
tension, depleting reserves of crude oil (Peaking of Oil)
and other factors.
• Coal can play a key role in this situation and has potential
to resuscitate the energy reserves.
• Although technologies of converting coal to oil do exist
innovative breakthroughs on both technological as well
as environmental front is imperative.

24. References
• Mantripragada & Rubin Eval of CTL Energy Policy 2011
• BP Energy Outlook 2030, January 2011
• BP Statistical Review of World Energy June 2012
• www.e-metaventure.com
• www.asertti.org/
• gcep.stanford.edu/
• www.wyopipeline.com

25. References
• http://www.mpowerfuels.com/projects.html
• http://www.wisegeek.com/what-is-coal-liquefaction.htm
• http://www.covol.com/data/upFiles/moreinfo/DCL%20T
echnology%20Presentation%203.31.09.pdf
• www.worldcoal.org/
• www.nanoscienceexchange.org
• www.elsevier.com